Interfor Corporation (“Interfor”) will implement a number of initiatives in order to adjust its business to operating conditions being impacted by COVID-19.
Interfor will temporarily reduce production across its operations in British Columbia, the Pacific Northwest and the US South. These curtailments are expected to reduce production by approximately 35 million board feet per week, which represents approximately 60% of Interfor’s production capacity. These curtailments will initially be for a two-week period and will be re-evaluated regularly.
Interfor is planning to reduce its capital expenditures in 2020 and 2021 by a total of approximately $140 million. With this reduction, Interfor’s 2020 capital expenditures are expected to be approximately $100 million and 2021 capital expenditures are expected to be substantially below $100 million. Interfor will reevaluate its capital expenditures as market conditions continue to evolve.
“We are very focused on ensuring the health and safety of our employees as well as adapting to the evolving market conditions,” said Ian Fillinger, Interfor’s President and CEO. “In addition, Interfor will remain disciplined in its approach to capital deployment as it focuses on retaining a strong capital structure.”
Interfor is a growth-oriented forest products company with operations in Canada and the United States.
